An introduction to Singapore
When Singapore came into being in 1965, it was a low-income country that had limited natural resources and a lack of infrastructure, investment. Singapore has become one of the richest countries in Asia due to its performance as the best logistics centre in the region. Today the Singapore that was considered as a small state is home to the world’s largest containerized port.
Singapore’s Changi Airport is voted the best internationally and offers more than 68000 flights to more than 330 cities. Singapore’s nation’s trade value is 3.5 times its GDP. 3PL logistics, Fulfillment Center and logistics companies in Singapore are considered as the best services providers in the world.
What is logistics?
While transportation and logistics are both concerned with getting valuables from one location to another logistics differs as it also added benefits and functions. Are you trying to get into logistic business or do want to know each and every important step to start this business? Whichever the reason, you are surely in the right place.
After reading this your all doubts and fears will vanish like magic, Here you will get all info about logistics, subset services, global logistics companies, logistics management, what are factors to consider and much more. Let’s start with first most important and basic thing logistics definition you may know it or may not or maybe not right meaning.
Here’s the correct definition of logistics which clear all your confusions.
What is logistic outsourcing?
Logistics Outsourcing can be defined as using external parties strategically to carry out activities traditionally handled by internal staff and resources.
Outsourcing in logistics services effectively reduces corporate time and resources. Third-party logistics companies provide expertise to add value to your supply chain processes, giving you time to focus on what matters most – your products, your business, and your customers.
A survey found that over 70 per cent of large companies (> 1 billion dollars in revenue) prefer to outsource transport-related IT functions including import/export, warehouse management, transport execution, transport planning, and network design.
In this complex and vast business management is very important or we can say the main priority.
A supply chain management function used to fulfil consumer demands by organizing, monitoring and enforcing the efficient transport and storing of relevant material, products and services from origin to destination.
Managing logistics is incredibly necessary if the company is to thrive. It involves careful control of the goods both leaving and entering your premises, thus keeping your company running smoothly as a whole. These are our top reasons to help you manage your goods perfectly.
7 R’s in Logistics Management Services
- Right Product
- Right Place
- Right Price
- Right Customer
- Right Condition
- Right Time
- Right Quantity
If a logistic business follows these above mention things then nothing will feel complex and business growth will touch heights. These 7 R’s make a logistic business success or failure if you follow right then you definitely achieve success.
What is a fulfilment centre and what do they do?
A fulfilment centre takes care of all your worries about warehousing and shipping, ensuring customers get their products on time, allowing you plenty of time to source new products, get advertising and other things that are usually put on the back burner because you’re so tired trying to get products out of the door.
What is the Fulfillment Process?
The process includes logical product warehousing, receiving the order, finding the items ordered in the warehouse, “packing” those items, “shipping” them to the correct address, and notifying the customer that their order is underway.
Bearing in mind e-commerce, the fulfilment process may also include keeping online inventories (warehousing), setting up and maintaining new online customer accounts, or managing active e-commerce customer marketing lists.
Many new companies start their own order fulfilment process while the business is small, as this can be cost-effective and a good choice early when few orders are processed. However, as the business expands, the period of time it requires for the organization and its workers to execute the task will become too big and not cost-effective.
All this information is all you need to get into the right track and what are the requirements of this business, now get moving and become a part of this business.
3PL or 3rd party logistics is the process of engaging a 3rd party to manage your logistics function. Perhaps you are running a small business or managing an e-commerce store. Small businesses usually lack the large amounts of cash flow needed to run their own warehouse.
This is understandable since overheads would be a major concern when it comes to renting or even buying a warehouse for your business operations. This is where a 3PL logistics company in Singapore might be a cost-effective option to consider. Since 3PLs understand their operations and region best, they’ll be able to provide the best advice in terms of managing your inventory or logistics effectively.
Singapore’s Logistics Sector
By linking suppliers with producers and traders to consumers, the logistics sector is considered as the key driver for Singapore’s economy. Singapore’s growth was not a coincidence. It is a combination of future public policy and broader private sector participation. This experience can teach any developing country a lesson in improving its logistics network. The logistics sector has contributed significantly to Singapore’s GDP per capita growth, from $400 to $53,000 in just a few decades.
On the one hand, the development of the logistics industry depends on economic performance and the needs of other industries. On the other hand, the industries that manufacture goods and services depend on the quality and efficiency of the logistics industry to increase its competitiveness. This article gives a brief overview of the development of Singapore’s logistics, the performance of the country’s logistics, and the key factors behind the success that has made its logistics reach Southeast Asia.
Reaching Southeast Asia
A growing region right in the heart of the globe, Southeast Asia has been set to grow to become a major economic force in Asia. By having a presence in Singapore’s important port that is connected to more than 600 ports worldwide. You’ll be able to expand your reach both regionally and globally.
Today, Singapore is a top destination for top logistics companies. Most of the biggest companies have set up their regional and global headquarters here. Singapore is providing a foundation for these companies to support key logistics and supply chain operations, specialized resources, and innovative activities to provide new solutions for the supply chain. This allows companies who have set up a base in the island to expand their operations in Southeast Asia as well as secure regional contracts with their Asia Pacific (APAC) HQ in Singapore.
Singapore Logistics Center Performance
Facing consistent and stable performance in the logistics sector, Singapore has claimed the title of No. 1 Logistics Center in Asia under the World Bank Global Rankings for the International Logistics Performance Index (LPI). With six key performance indicators, the Logistics Performance System is a point system that assesses the quality of logistics infrastructure, management, and performance in the logistics supply chain.
The Bottom Line
Singapore Logistics is a product of economic and industrial development and a major component of economic growth. It plays a key role in attracting foreign investment and it has attracted investors from all around the world. Companies that manufacture goods and services place greater emphasis on the quality and performance of high-profit logistics, logistics companies that have undergone deep integration in the supply chain are demonstrating a high degree of professionalism.
Above mentioned key factors are some of those factors that have extended the boundaries of Singapore Logistics and today Singapore Logistics, 3PL companies in Singapore, Fulfilment Centers in Singapore are considered as the best service providers in all around the world.